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Tablet cash machines: The next-gen ATM?

A range of next-generation ATMs is currently in the works. Tailored to meet the needs and expectations of tech-savvy Millennials and others, these new machines are designed with smartphones and tablets in mind.

One example is a new touchscreen cash machine with built-in security cameras. The machine works like a tablet computer and uses facial recognition and QR codes to authenticate users.

The Millennial-centric touchscreen looks and behaves like a modern smartphone and tablet screen, with similar navigation menus and controls. It is paperless; receipts are sent via text message or email to a user's phone.

The ATM connects with a user's mobile device when he or she scans an onscreen QR code. This syncs the device through a cloud-based service in order to confirm the user's identity without an ATM card.

The transaction screen then appears on the smartphone and the customer can select a withdrawal amount. A unique one-time code is sent to the phone, which the customer uses at the ATM to authenticate the transaction.

Demonstrations at the ATM conference in London showed how the next-gen ATM can set up a transaction in advance and send money to another person.

The customer enters a payment amount and the recipient's contact information on a smartphone or tablet, pulling directly from the device's contact list. The recipient then receives a one-time code to use at an ATM or branch to obtain the cash.

The possibilities for using this kind of service to reach the critically important unbanked segment should be enough to raise the eyebrows of more than one financial institution.

The portable touchscreen ATM is two-thirds the size of a traditional cash machine and is Wi-Fi enabled. A built-in camera lets users see who is behind them while they withdraw their cash, and can also be used for facial recognition as an alternative to the QR code. The company hopes to bring the ATM to market within the next 18 months.

Another example is a machine that remembers a user's withdrawal history in order to offer more personalized options. The ATM displays a customer's personal profile upon insertion of his or her ATM card.

The screen shows the customer's most recent transactions, including amounts, and personalizes options to reflect the individual's transaction history.

These emerging ATM enhancements are evidence of the industry's push to make the ATM more like a smartphone. With consumers reporting increased dependency on their mobile devices, it's looking like a smart move.